United Kingdom BoE Asset Purchase Facility flat at £375B

United Kingdom BoE Interest Rate Decision remains at 0.5%

UK: BoE maintains 0.5% rate and £375B QE

The MPC decided to keep the key rate at 0.5% and the asset purchases at £375B, as expected by investors, in the meeting of February 7. “The MPC continues to judge that the UK economy is set for a slow but sustained recovery in both demand and effective supply, aided by a further easing in credit conditions – supported by the Bank’s programme of asset purchases and the Funding for Lending Scheme – and some improvement in the global environment”, said the statement, eyeing risks to the downside, not least because of the challenges facing the euro area.